'CROATIA AIRLINES' SATISFIED WITH 1998 BUSINESS DESPITE LOSS

ZAGREB, July 14 (Hina) - Croatian air company Croatia Airlines suffered a US$892,000 loss in 1998, managing director Ivan Misetic said on Wednesday, but pointed out business results were nevertheless satisfactory. Last year's business was conducted in conditions of economic and financial instability, he said, adding 1998 was also the first year when investments into the company's development intensified. Croatia Airlines last year flew 920,000 passengers, which is 6.2 percent more than in 1997, including 465,000 on regular international flights, 13 percent more than in 1997. The company flew 362,000 passengers in regular domestic transport, four percent more than in 1997, while 92,000 passengers flew on charter flights, 13 percent more than in 1997. The company's assets rose to US$211 million in 1998; investments amounted to US$114 million. The number of passengers increased by ten percent in the period between January 1 and March 23 of this year, which is five percent more than planned. Due to NATO air strikes against neighbouring Yugoslavia which ensued, by May 23 eighty-six percent of what had been planned was realised. The consequences of the crisis which resulted from strikes will however not be as dramatic as expected at first, Misetic said. (hina) ha